Indian Economic survey 2016-17

The survey prepared by chief economic adviser in the finance ministry Arvind Subramanian said the adverse impact of demonetisation on GDP growth will be transitional. The Economic Survey 2016-17 advocates the concept of Universal Basic Income (UBI) as an alternative to the various social welfare schemes in an effort to reduce poverty.

Here are the major highlights from the Economic Survey 2016-17:

■ Gross domestic product (GDP) growth in 2016-17 to dip to 6.5%, down from 7.6% in last fiscal.

■ Farm sector to grow at 4.1% in the current fiscal, up from 1.2% in 2015-16.

■ Fiscal gains from Goods and Services Tax (GST) will take time to realise.

■ Growth rate of industrial sector estimated to moderate to 5.2% in 2016-17 from 7.4% last fiscal.

■ The survey prepared by Chief Economic Adviser in the finance ministry Arvind Subramanian said the adverse impact of demonetisation on GDP growth will be transitional.

■ The Economic Survey 2016-17 has advocated the concept of Universal Basic Income (UBI) as an alternative to the various social welfare schemes in an effort to reduce poverty. In his budget speech earlier this month, J&K finance minister Haseeb Drabu said he would want to create a social security fund and provide a UBI to all those living below the poverty line through a direct benefit transfer system

India’s economy should grow between 6.75 percent and 7.5 percent in the financial year beginning on April 1, a government report estimated on Tuesday.

The Economic Survey, which sets the scene for Finance Minister Arun Jaitley’s fourth annual budget on Wednesday, forecast that Asia’s third-largest economy should steady after a hit from the government’s shock decision in November to scrap most cash in circulation.

GROWTH

* 2017/18 GDP growth seen between 6.75 and 7.5 percent year on year

* GDP growth rate at constant market prices for the current year 2016/17 is placed at 7.1 percent